Asian courts can't agree on AI copyrights; the Middle East is calling
Asian Legal Business
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Hello! It's Sarah in Hong Kong and Nimitt in India bringing you the latest edition of First Up with ALB.
All the buzz generated by AI in law has been keeping the Asian Legal Business newsroom busy. We ask lawyers in Singapore, Greater China and India about how the technology revolutionizes legal arguments in intellectual property. Plus our freshly launched flagship Middle East section and the ALB Asia March issue. Buckle up!
When copyright meets AI
Generative AI is driven by sophisticated systems that produce content from text to images. And that creates all kinds of novel challenges in courts.
In jurisdictions such as the United States, the debate is still ongoing over whether there is a copyright question in Gen AI output after all.
"The key issue to granting copyright protection for AI-generated works is the lack of human authorship that has traditionally been required for a work to be protected," - Pin-Ping Oh , Bird & Bird
Lawyers acknowledge the judicial ambiguity in Singapore surrounding whether copyright subsists in Gen AI output. Courts in China, however, appeared to have adopted a more human-centric approach in the country's first ruling concerning the copyrightability of AI output.
Another major crux testing IP lawyers in the era of AI is the use of proprietary content in training, especially commercial, large language models (LLMs).
"There is potential infringement if the developer of the AI was not granted a right to use the source material to train its AI. There may also be infringement if the AI-created output is substantially similar to the source works of copyright owners," - Nicholas Lauw , RPC Premier Law
"Would this be no different than a human using resources online and the public library to learn about the world, and then creating a work or invention based on that knowledge?" - Jonathan Chu , CMS
Vaishali R Mittal , a partner at ANAND AND ANAND , points out that India is one of the few countries which has allowed co-authorship AI in a work created using it.
Can Asia conquer Middle East?
The Middle East’s drive for diversification is fast-propelling its investments and cross-border trade with Asian economies, including China, India, South Korea, Japan and Southeast Asia.
"This need for diversification has coincided with Asia’s rise as a global economic powerhouse, making it an attractive partner for trade and investment,” - 牧唐 , Al Tamimi & Company
However, Asian law firms and lawyers are struggling to compete in an overcrowded legal market. Not many Asian law firms have been able to make their mark in the region.
Leaders at top Middle Eastern firms Al Tamimi and AMERELLER explain that cultural differences, an overcrowded Dubai legal market and the inability to look beyond Dubai are preventing Asian law firms from growing significantly in the region.
We look at how law firms from Asia have performed in the Middle East and speak to experts about the best way these firms can look to establish a Middle East presence in the future.
The ALB Asia March issue has arrived!
From the Editor: Bridging the Gulf
From this issue, we’re starting with a four-page section in ALB Asia on the Middle East legal scene.
And our plans are bigger: expect to see not just expanded print coverage, but also more online content in the form of news stories and videos, and a dedicated newsletter further down the road.
The reason for this initiative is very obvious: Ties between the Middle East and Asia, particularly Asia’s fast-growing developing economies, have been strengthening significantly of late.
The legal work being generated through this corridor is not insignificant, and we hope to be able to bring key news and analysis related to it going forward.
Please do get in touch with us if you would like to be a part of this coverage; in-house counsel are especially welcome.
- Ranajit Dam, Managing Editor
The full-service trap
(SW) - It's no secret by now that corporate legal work has taken a beating in Greater China as fundraising and dealmaking activities virtually ground to a halt in the region.
To batten down the hatches, a number of firms opted for proactive cost-cutting by imposing large-scale layoffs or by quietly showing staff the door, citing performance reasons.?Kirkland & Ellis and Dechert became the latest to trim their corporate and capital markets teams in Hong Kong, while Mayer Brown reportedly laid off lawyers covering corporate clients, funds and capital markets in recent months.
Even in Singapore, China's downturn has not totally blunted the fallout from high interest rates and global recessionary indicators. Granted there might always be lawyers pulling long hours, but it seemed more are now twiddling their thumbs.
It then always comes down to the survival of the fittest in a harsh market environment like this. For top-tier Magic Circle or White Shoe firms - those with strong brand recognition and known expertise and track record unmatched by rivals in one dedicated practice area, work is still flowing, according to a legal recruiter I spoke to recently.
Indeed, the top of the market share will have to go somewhere. Hence, it left second-tier, full-service firms to muscle for crumbs from an awkward position and with a relatively anemic proposition.
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For example, IPOs may still go to Clifford Chance, and deals to Slaughter and May; but the jack-of-all-trades "silver circle" firms are staring at a very slim strip of market segment where their brand or expertise still holds appeal, according to the recruiter.
As a result, some of these firms are grappling with attrition when others thin their ranks. One UK firm's Hong Kong office was hit by an exodus of its data practice team, people familiar with the matter said.
In a market slowdown, diversification has often been the intuitive savior tool, prompting firms to double down on counter-cyclical offerings to boost profits. Yet, specialization could be another survival tip when weathering a downturn in client interest.
Do you work at firms and have similar experiences as descirbed? I'd love to hear your thoughts. Email me at [email protected]
On March 19, we brought the key players in Asia's compliance space together to discuss the issues at stake and the most important trends shaking up the regulatory landscape at the ALB Pan-Asian Regulatory and Anti-corruption Compliance Summit in Hong Kong.
Financial Services and Treasury Undersecretary Joseph Chan, HKMA Executive Director (Enforcement and AML) Carmen Chu, SFC Executive Director of Enforcement Christopher Wilson opened the one-day summit, which was attended by more than 200 delegates, at Kowloon Shangri-la.
Our event partners MCO (MyComplianceOffice) , Sumsub , Diligent , Lawsnote Inc. , GRC Solutions and Bondlinc Private Limited also shared with ALB the latest trends in the regulatory space and how AI is going to change the game.
The ALB In-House Summits season has swung into full gear! We invite you to save the date for our?Japan In-House Legal Summit which is returning to Tokyo live in person on April 18. Register here today. And do not miss out on the chance to take part in our India In-House Legal Summit in Mumbai on April 3.
Keep a close eye on the finalist list for our 20th Southeast Asia Law Awards happening on May 16 in Singapore! Plus, the finalists of our India Law Awards on April 3 in Mumbai have been announced. Secure your seats here.
Over to Tokyo, we are calling for sponsors for our Japan Law Awards, which marks its 20th anniversary on June 12. Submissions are open until March 22 and finalists will be announced around mid-April.
Our annual Asia Top 15 ESG Law Firms list will spotlight law firms that have delivered exceptional legal services for the businesses in addressing ESG considerations while achieving long-term prosperity. Submissions are open until March 29.
We are also launching our inaugural Asia's Top 15 Chief Compliance Officers list. Send in your nomination before March 29.
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